Exam 12: Developing New Products

The National Institutes of Health (NIH) sponsors medical foundations to conduct research to treat rare diseases. The research is then disseminated to the medical community, thus encouraging the development of drugs and therapies more quickly and at a lower cost than would be possible if the research were privately funded. This is an example of

Barbara is using a test model of her firm's new inline skates to see if they work according to the design specifications. Barbara is involved in

Why is it important for marketers to understand the product life cycle?

In one test before product launch, customers try a sample product and are then surveyed to understand whether or not they would buy/use the product again. This is known as

Cathy has used Olay beauty products for years, even though there are many competitors on the market. She plans to purchase a recently introduced micro-sculpting cream from Olay's Regenerist line. Olay is in the ________ stage of the product life cycle.

The diffusion of innovation theory focuses on

Lorraine belongs to a national consumer panel created by a market research company. She regularly receives samples of new products from a variety of firms and fills out questionnaires about the products. The national consumer panel Lorraine is part of is engaged in

Why is the failure rate for new products so high?

All of the following are included in the four product life cycle stages except

Why do you think that many biotechnology firms license their new products?

How is consumer panel data collected during the test marketing phase of a new product introduction?

During the ________ stage of the product life cycle, firms either position themselves for a niche segment of diehard consumers or they completely exit the market.

A year after expanding his celebrity golf photography business to include golf course photography, Chet decided it was time to evaluate results. What three interrelated factors will Chet consider when evaluating the success of his new product?

New product development adds value to a firm's products and services through innovation.

In many cases, pioneers lose their market lead and initial market share to imitators who

All of the following were considered a new-to-the-world product or service when introduced except

Laura is about to launch a new product: herself! She is running for a local political office. First-time candidates quickly learn the importance of marketing. She has consulted with various experts, tested her campaign themes and messages with focus groups, and now is ready to do a full-scale product launch. Why is her product launch the most critical step? What will she need to do?

During the introduction stage of a product's life cycle, typical consumers are

One of the key characteristics of brainstorming sessions is

When John began helping his favorite uncle Burton with his finances, he discovered his uncle was still renting a rotary-dial telephone from the phone company. Uncle Burton had paid thousands of dollars in rental fees over the previous 40 years. Uncle Burton is a(n) ________ in the diffusion of innovation process for telephones.